` Comparison: ALECP vs UMG - Alpha Spread

ALECP
vs
UMG

Over the past 12 months, ALECP has outperformed UMG, delivering a return of -14% compared to the UMG's 26% drop.

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ALECP
UMG
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Valuation Comparison

ALECP Intrinsic Value
0.51 EUR
Undervaluation 21%
Intrinsic Value
Price
UMG Intrinsic Value
25.472 EUR
Undervaluation 25%
Intrinsic Value
Price
Company Last Price Intrinsic Value DCF Value Relative Value Wall St Target
Europacorp SA
PAR:ALECP
0.4 EUR
Universal Music Group NV
AEX:UMG
19.175 EUR
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Valuation Scenario:
Bear Case
Base Case
Bull Case

Growth Comparison

Growth Over Time
ALECP, UMG

ALECP
UMG
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Revenue
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Company LTM Historical Growth Growth Streak % Positive Years Max Drawdown Volatility Forecasted Growth
3 Years 5 Years 10 Years 1 Year 3 Years
Europacorp SA
Revenue
Universal Music Group NV
Revenue

All metrics are calculated based on data from the last 10 years.

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Profitability Comparison

Free Cash Flow
ALECP, UMG

ALECP
UMG
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Free Cash Flow
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Company LTM Average Historical Growth FCF Margin Conversion
3 Years 5 Years 3 Years 5 Years 10 Years
Europacorp SA
PAR:ALECP
Universal Music Group NV
AEX:UMG
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What is Free Cash Flow?

Gross Margin

ALECP
22.5%
UMG
0%

Operating Margin

ALECP
-1.6%
UMG
32.8%

Net Margin

ALECP
-5.7%
UMG
37%

FCF Margin

ALECP
5.9%
UMG
11.1%

ROE

ALECP
59.5%
UMG
135.4%

ROA

ALECP
-2.1%
UMG
33.6%

ROIC

ALECP
-1%
UMG
47.3%

ROCE

ALECP
-1%
UMG
52.2%

Solvency Comparison

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Balance Sheet Comparison
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Stocks Performance

Stocks Performance
ALECP, UMG

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Performance Gap
ALECP, UMG

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ALECP
UMG
Difference
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Performance By Year
ALECP, UMG

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ALECP
UMG
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Intrinsic Value is all-important and is the only logical way to evaluate the relative attractiveness of investments and businesses.

Warren Buffett